CONSUMER GROUPS, UNIONS ASK FCC TO RETAIN OWNERSHIP RESTRICTIONS

Docket for FCC’s rulemaking on broadcast ownership showed consumer groups and unions generally pitted against companies. Comments were due Thurs. (CD Jan 3 p1), and FCC’s Web site, which generally runs behind, had logged 1,669 filings as of Fri. afternoon.

CWA said it had drawn upon views of its 100,000 members to come to conclusion that media concentration already has diminished quality of newsgathering and diversity of viewpoints. “They [union members] find it harder to practice their craft in an environment of reduced staffing and fewer resources,” union said. “They know that who owns the media outlet is the final arbiter as to what gets printed, broadcast or posted on an Internet news site.” CWA said some labor issues weren’t covered and some outlets wouldn’t accept ads from unions. It also quoted TV columnist who said he was expected to write big story if co-owned TV station’s ratings were up and “to bury the story” if ratings were down.

CWA proposed alternate framework for unified local media ownership rule: (1) Newspaper, TV and radio would be considered separate and distinct local markets. (2) Concentration would be analyzed in each of those markets separately. (3) Combinations would be banned where market already was concentrated or would result in concentrated market. (4) Combination would be allowed in unconcentrated markets, putting burden of proof that merger was in public interest on those who wanted to merge. (5) Commonly owned media would be required to maintain separate newsrooms and editorial staffs.

NAB joined Network Affiliated Stations Alliance (NASA) in urging Commission to retain 35% TV audience reach cap. NAB also had its own, separate filing. NASA, on its own, advocated retention of dual network rule. Together, NAB and NASA said national TV ownership cap was necessary to maintain “balance between national programming excellence and local- community responsiveness.”

(Note: We've learned that NAB is paying “substantial part” of NASA’s legal expenses in affiliates’ all-out drive to convince FCC to retain 35% cap on viewers. It’s reported NAB already has reimbursed NASA about $600,000. It was NAB’s continued support of cap that caused CBS, NBC and Fox TV Networks and their owned stations to withdraw as NAB members.)

Economic study they included by Profs. Marius Schwartz of Georgetown U. and Daniel Vincent of U. of Md. found national TV ownership rule was necessary because programming decisions of affiliates were more closely attuned to local viewers than network owned stations. NAB and NASA said they had gathered nearly 1,000 examples of preemptions by independent affiliates that better served their local communities. Survey showed independents were “experiencing pressure” from networks not to preempt network programming and that such preemptions had declined significantly.

NAB and NASA complained that with repeal of financial interest and syndication (fin/syn) rules and other developments, networks now supplied most of their own prime- time content, dominated syndication market, increasingly were re-purposing broadcast fare and had incentives to favor their own programs.

Disney/ABC said public interest would be served by “broad and principled deregulation of broadcast ownership.” Company cited examples of its purchase of WJRT-TV Flint, Mich., and WTVG Toledo, O., both in 1994, saying that in both cases, network significantly increased local news coverage, in WJRT’s case more than doubling hours of local news. Disney/ABC complained that preemptions often weren’t for local news or other local specials, but instead for movies, syndicated programming, telethons, sports or paid religious programming and infomercials.

Consumer groups said current limits on media concentration were “fully supported by decades of academic research and analysis.” In 280-page filing, Consumer Federation of America, Consumers Union, Center for Digital Democracy and Media Access Project said their research and FCC’s own studies showed there was little substitution between media forms as sources of news and information, previous decisions to relax rules had “already resulted in an alarmingly high level of concentration,” cross-ownership affected newsgathering, often reducing coverage and tailoring content to “the lowest common denominator.” CU Senior Dir.- Public Policy & Advocacy Gene Kimmelman said not preserving rules could distort election results: “There is clear evidence of news and information that are presented in ways that reflect the bias of those who control the media. That bias influences elections.” Groups filing cited June 2002 article in American Political Science Review that found newspaper articles slanted in favor of Senate candidates endorsed on editorial pages. Groups also cited 3 TV network news shows that groups said failed to adequately inform public about govt. decisions that benefited media companies.

Coalition of United Church of Christ, Black Citizens for Fair Media, Civil Rights Forum, Philadelphia Lesbian and Gay Task Force and Women’s Institute for Freedom of the Press urged FCC to generally retain, with some modification, existing ownership limits as “necessary in the public interest.” Groups said amount and diversity of news and public affairs programming on TV had been decreasing. “Other media outlets such as cable, DBS and the Internet provide little additional diverse or local content to the public,” they wrote. Contradicting NAB (CD Jan 3 p1), they said retention of duopoly rule was “particularly important to preserve local viewpoint diversity.” What’s more, retaining national audience reach limits is necessary, groups said, because not doing so would allow 4 Big Networks to buy most of their affiliates.

AFTRA and Writers Guild of America-East (WGA-E) told FCC that restrictions should remain for each of rules being considered for revision. Filing focused on what groups called lack of adequate and appropriate research by FCC and highlighted study by Future of Music Coalition that found consolidation in radio had led to decrease in diversity of music locally. Groups said research showed people got their news from complementary sources, so loss of one entity would “lead consumers to get significantly less news generally.” Groups also said they had examples of local news stories’ being “killed” because corporate management wanted them dead.

Hearst-Argyle TV said newspaper/broadcast cross- ownership rule should be repealed and duopoly rule should be relaxed to benefit stations in small and medium markets. Gray TV also urged repeal of duopoly rule. Media General said time was “long overdue” for repeal of newspaper/broadcast cross-ownership rule, and Cox Enterprises made similar argument. Cox asked FCC to keep 35% national TV cap, citing pressure on its local stations not to preempt network programming.